We use cookies to customise content for your subscription and for analytics.If you continue to browse Lexology, we will assume that you are happy to receive all our cookies. For further information please read our Cookie Policy.

Speech Vestager on algorithms and competition

On 16 March 2017 EU Commissioner Margrethe Vestager gave a speech on the implications of algorithms on competition. She addressed the issue of automated systems that monitor, and even adjust, prices automatically. Companies can therefore instantly react to price changes in the market.

The sector inquiry into e-commerce has shown that two thirds of retailers who track their competitors’ prices use automatic systems. Some of them also use software to adjust prices automatically. Such automated systems could be used to make price-fixing more effective. The question in this respect is whether such automated systems can be qualified as a collusion tool? Last month, the Commission launched a case which looks at whether four companies broke the competition rules by limiting the ability of retailers to set their own prices for consumer electronics. Part of the concern of the Commission is that software may have made those limitations more effective. The challenge for the Commission and for national competition authorities is how to deal with automated price adjustments. Vestager has called for alertness by the national competition authorities.

Compare jurisdictions: Data Security & Cybercrime

"The newsfeeds are extremely relevant. They address both legislative and judicial updates and offer an experienced, thoughtful analysis of directions or trends. The articles are all extremely well done and provide a practical viewpoint, not just an academic one. Most topics have at least 3-5 articles from various law firms, so there's an opportunity to read different perspectives and analyses."